Looking to get started in Real Eatate

[Nick Banes]

Hi everyone! A friend turned me onto Bigger Pockets and A Better Life with Brandon and I feel like I'm trying to soak up as much as I can to learn before making my first real estate moves. I'm living in Orange County, CA and looking to get started by purchasing our first property in the next 9-12 months. My wife and I are both working professionals with two young children, so trying to tackle something that makes sense for us from a time commitment perspective is a big consideration. We're apprehensive about current rates and the cost in SoCal, but would rather do something local before dipping our toe in long distance investments in other areas of the country where we have lived or have family. Looking forward to learning from everyone here on Bigger Pockets! 

[James Carlson]

@Nick Banes

I agree with @Joel Bongco. If all you can do to start is a condo in your high-COLA area, then a condo's great. Our first three purchases in Denver were condos in great areas. They broke even for a few years, but as rents have risen, we've seen better and better cash flow (and the appreciation on the property values have been nice). 

Don't overthink it too much. Real estate's just diversified way to save. I think of it not unlike a stock. I'm buying index funds that I'll hold for the long-term. I don't think about them much but take comfort in knowing that in 20 years, they'll be worth a lot more. (The upside of real estate, is that someone else pays the majority of the cost while you get all the appreciation when you sell).

Good luck.